After about half an hour I was able to find the code that was causing a second duplicate login and password field. I am sure Justin was thinking ahead with the login fields but in some cases it actually interferes with the blog design/UI. The other problem was the welcome and edit profile links once logged in.

The block of code is found in 2 sections within Widget.php

The First NULLED section will remove the Welcome and Edit profile links once a user is logged in.
The Second NULLED section of code will remove the login fields.

Widget.phpNote: you can copy and past this entire code onto your Widget.php file to update it or download the file directly from the link at the bottom of this post.